Weekly Crypto Analysis August 6-12, 2018

Weekly Crypto Analysis August 6-12, 2018

Bitcoin

Source: tradingview.com

The Bitcoin fall continued to extend for the past week, breaking below the 6,800 key support area. We have anticipated in our last weekly crypto analysis that it is very likely the bearish sentiment will further put pressure on the price and now, even though there is a significant rejection off the 6,120 support level, we expect the 2018 low to be again under attack.

With that being the case, we expect the 5,800 area to be revisited, probably as soon as next week, given that the market sentiment had been hit hard by the Bitcoin ETF rejection.

On the upside, we’ve seen sellers rejoin the trend on a pullback towards the 6,590 area, so if the price starts to climb higher, we suspect selling orders will be parked around it. Last, but not least, the 6,800 key area is next on our list and given the breakout below it, we expect it to act as resistance.

Ethereum

Source: tradingview.com

Pressured by the Bitcoin selloff, Ethereum had been hurt badly for the past week, breaking below the previous 2018 low, located around the 361 area. The interest in buying had been quite weak at that level, as you can see from the chart and following a brief consolidation, the price plunged towards 305, where it found support.

Even if the price will continue to recover, we think the sentiment had been hurt by the break below the yearly low. That is why we suspect strong sellers could resume around 349-361 resistance zone. Only a strong break above it could open more room towards the 397 resistance.

On the other hand, if the sellers will pressure the price lower, 305 and then 275 are expected to be level where buyers could find it ideal to rejoin the market.

EOS

Source: tradingview.com

As with all the major cryptocurrencies, EOS had also been under heavy pressure, dropping impulsively 4 out of the last 6 days, approaching a critical support area.

At the time of writing, EOS is in the negative territory in terms of 2018 performance, following an enthusiastic start in the first quarter of the year. Judging by the current price action structure, some further weakness is expected, with a key support zone following around 4.55-3.88 area. An impulsive leg up started around it, so we suspect buyers might be active there.

On the other hand, if a bullish pullback starts to form from the current point, resistance is expected around 5.83 and 6.59. The faith of all cryptocurrencies seems to be tied to the one of Bitcoin. As long it will be under pressure, so will the other tokens, including EOS.

Briefings about ICOs

According to icoalert.com, an interesting ICO project that is currently active is UBEX. UBEX wants to provide a platform for advertising using artificial intelligence. The project will be active for two additional days and it had also raised more than 23k ETH.

In terms of the projects that will start in the near term, WONO is a P2P platform for rentals and freelancing without taxes. The fundraising will start on September 3rd.